In Praise Of TFSA's

[Anonymous]

You're always claiming the same about every government plan and benefit, but there's never any evidence they're unsustainable.



TFSA's are an option, but most Canadians will be relying on government pensions and benefits just as they always have. They've been sustainable and helpful for decades.

I know the government claims they will have funding over the next 75 years for CCP, but that is based on some wishful thinking in terms of immigration, demographics and markets surging to make more money for the fund. OAS on the other hand is funded through general revenue and you can see the age for eligibility rise as our European counterparts have. Means testing is another distinct possiblility.



TFSA's are the best thing I have seen a government do for more secure retirements for Canadians. I strongly urge you to get some more information and get on it ASAP. If not you will be one of those senior citizen whiners who never invested a nickel and blame the government for it.

[Romero]

I know the government claims they will have funding over the next 75 years for CCP, but that is based on some wishful thinking in terms of immigration, demographics and markets surging to make more money for the fund.

It's not based on wishful thinking. It's based on the numbers. CCP hasn't need any surges yet, so why would it in the future? It's stable.

[cc]

Why? Because future demographics and the characteristics of those demographics  combined with people living much longer make it anything but "stable" ... quicksand comes to mind

TFSA's are the best thing I have seen a government do for more secure retirements for Canadians. I strongly urge you to get some more information and get on it ASAP. If not you will be one of those senior citizen whiners who never invested a nickel and blame the government for it.

Agree!! in spades



While Canadians have become stuck on mutual, how about ETFs? ..... While bankers want to talk mutuals (high fees for them - especially to sell early can trigger very large penalties that can wipe out gains) ..... all the business buzz is  for careful selection of ETFs (much lower fees) ... will have to check into how to purchase them from  within a TFSA as many banks won't do it for you .....they will do mutuals with a big smile. Seems extremely safe minded Canadians are slow to move out of mutuals, but I'm looking hard at a mix of hard and medium ETFs at the moment



Just realized that both halfs of a couple can do their own TFSA = total of  82,000 as of today ... I deserve a big duh for being so slow on that one. While they cannot be joint, one can make the mate beneficiary to it ..... which results in almost as good as joint (only a 1 - 2 week delay) so long as will does not contradict it

[Anonymous]

"buy high and sell low"  ... "You also forgot when you might need access to the money"



 It is racist if not sinophobic to make such  crap & drool accusations



Does your uncle still clean washrooms for NASA?

Green Hornet is a white toll idiot. He's so dumb he thinks posting his Google search will change that.

[cc]

A "google search" genius for sure. Knowledge is just a click away, lol



But he is important. His uncle cleaned toilets at NASA. That's impressive

[Anonymous]

Are you an accountant seoul?



Apropos or what for me!! Funny this thread came up now. I've been looking into them to place a chunk .. doing a great deal of research the past week.



I understand one can go back to the starting date retroactively = 30 some odd grand?



That will take a lot of it and the balance may see some stock market fun  ..... putting 5500 of that into TFSA each year



Say - are they strictly personal or can one make it "joint"?  - motive being to make readily accessible to both mates should one meet with misfortune. This could even be a "breaker" point .. we will see



I do not have one yet, but while managing Mom's money the past few years, I did see the TFSA do quite well ... tried a few different investment types so got a bit of practice and a view of the corresponding results to go on.



I have an appointment with a TD ace tomorrow about it all so don't sweat it if you don't know the answers to above



This thread supports what I felt but it also added a cpl of points to my "ask the pro" list.

If anyone has any further questions, get to me before my 1.00 pm appointment tomorrow and I'll add it to my long list, ask it  and then post what I'm told

I am a Registered Financial Planner. TFSA is retroactive and the new contribution ceiling is 10000 per year.



It's an excellent way to shelter your investments.

[Anonymous]

A "google search" genius for sure. Knowledge is just a click away, lol



But he is important. His uncle cleaned toilets at NASA. That's impressive

One of the downfalls of the internet age. Idiots can appear as though they have average level intelligence.

[cc]

Thanks for reply and confirmation. Yes, today one person can place a total of 41,000 - a cpl x2



What are your feelings on wisely  selected ETFs within TFSAs?

[Anonymous]

It's not based on wishful thinking. It's based on the numbers. CCP hasn't need any surges yet, so why would it in the future? It's stable.

Let me get this straight; your whole retirement strategy is based on optimistic projections from government so that you might get $6-700/month when you retire? No saving and investing for the future as it appears all of us here are doing? Just hope and pray everything turns out as rosy? ac_wot

[Anonymous]

It's not based on wishful thinking. It's based on the numbers. CCP hasn't need any surges yet, so why would it in the future? It's stable.

Let me get this straight; your whole retirement strategy is based on optimistic projections from government so that you might get $6-700/month when you retire? No saving and investing for the future as it appears all of us here are doing? Just hope and pray everything turns out as rosy? ac_wot

Romero would not be alone if that is the case. A large chunk of the Canadian population lacks a clear exit from work plan.

[Anonymous]

Thanks for reply and confirmation. Yes, today one person can place a total of 41,000 - a cpl x2



What are your feelings on wisely  selected ETFs within TFSAs?

ETF's can offer a very high return. They have the added bonus of being able to be traded at any time during the day. Mutual funds can only be bought and sold at the closing price of the day. There is also short ETF's where you bet a stock is overvalued. If it goes down, your investment makes money. They do come with greater risk though.

[cc]

Yes. I understand that fees are much (by a large margin) lower than for mutuals ... especially when selling them  ... is that your finding?



I would have to figure out how to  buy them into a TFSA as most banks (maybe not all) will purchase mutuals only

[Anonymous]

Yes. I understand that fees are much (by a large margin) lower than for mutuals ... especially when selling them  ... is that your finding?



I would have to figure out how to  buy them into a TFSA as most banks (maybe not all) will purchase mutuals only

ETF's track an index and are not actively managed which makes them cheaper. Even index based ETFs are even cheaper than index based mutual funds. ETF trades are directly with other investors, and not with the fund company. The fund company doesn't need to process your order. No documents to mail and less work means savings.



http://www.scotiabank.com/itrade/en/0,,4200,00.html">http://www.scotiabank.com/itrade/en/0,,4200,00.html

[Rambo Wong]

"buy high and sell low"  ... "You also forgot when you might need access to the money"



 It is racist if not sinophobic to make such  crap & drool accusations



Does your uncle still clean washrooms for NASA?

Green Hornet is a white toll idiot. He's so dumb he thinks posting his Google search will change that.

Only a racist, sinophobic, twirlybrained, fucked in the head, crap n' droll, fruitcake, moron cyberbully spammer like seoulbro doesn't know you should do a visit of your portfolio every 3 months with a financial advisor.

[Anonymous]

Yes. I understand that fees are much (by a large margin) lower than for mutuals ... especially when selling them  ... is that your finding?



I would have to figure out how to  buy them into a TFSA as most banks (maybe not all) will purchase mutuals only

Why won't banks purchase them cc la femme?